Kalshi, the only CFTC-registered Designated Contract Market for event contracts, has partnered with Solidus Labs to layer advanced trade surveillance technology across its platform. The move is designed to catch market manipulation, insider trading, and other abuses across Kalshi’s catalog of more than 4,000 active markets.
Solidus Labs brings monitoring expertise drawn from both crypto markets and traditional finance. Kalshi already runs internal surveillance systems. The Solidus integration is meant to augment those capabilities with more sophisticated pattern detection, the kind that can flag wash trading, spoofing, or suspicious activity tied to real-world events before they become regulatory headaches.
This isn’t Kalshi’s only recent compliance move. The platform also partnered with StarCompliance to monitor its own employees’ trades in real-time, giving compliance teams visibility into potential conflicts of interest. On top of that, Kalshi has an existing relationship with IC360 for sports-specific monitoring and has established a dedicated surveillance advisory committee.
The regulatory battlefield
The backdrop to this partnership is a genuinely messy regulatory landscape. The CFTC has jurisdiction over Kalshi as a registered DCM, which means the platform operates under the same federal oversight framework as traditional derivatives exchanges. But several state regulators have pushed back, arguing that event-based contracts, particularly those tied to sports and elections, are gambling products that fall under state authority.
